FKI calls on government to improve trade with Taiwan

A major business lobby group called on the government Wednesday to forge agreements with Taiwan to avoid double taxation and promote a safe investment environment.

A major business lobby group called on the government Wednesday to forge agreements with Taiwan to avoid double taxation and promote a safe investment environment.

The request from the Federation of Korean Industries (FKI) came as Korea and Taiwan haven’t signed major treaties such as a bilateral investment treaty, although Korea is the sixth-largest export market for Taiwan.

The FKI sent the letter to the Ministry of Foreign Affairs and the Ministry of Economy and Finance, asking for action within the first half of this year.

The organization highlighted the size and importance of the Taiwanese market.

“Korean products account for merely 6 percent of the Taiwanese market due to a lack of regulatory support, although the region has 24 million people,” it said in a statement, adding that countries like the United States and Japan have increased their share of the market with favorable backing for financial transactions and taxation.

BY PARK EUN-JEE [park.eunjee@joongang.co.kr]